What exactly is email segmentation? (plus 5 ways to use it right) |

Sep 12, 2022

What is segmentation of emails? Segmenting your email lists will increase open rates, keep your subscribers active, and increase the number of mailboxes. Here's how it works.

What gives?

If you're sending each email to your entire list, that's a likely culprit. Your target audience is composed of people, and they want you -- and each business with which they deal -- to treat them accordingly.

Here's the good news: You don't need to create a meticulously customized email for each and every customer.

Instead, use email segmentation. When you segment your emails then you are able to give your contacts the relevant content they desire, which means more engagement with your emails, less unsubscribes, and happy customers.

But first, let's make sure we're on same page about the definition of email segmentation.

What is the definition of email segmentation?

Segmentation is the process of breaking your list of email subscribers into smaller groups --- a.k.a. segments -- based on set criteria.

Instead instead of sending the same emails to their entire list, email marketers can send targeted emails to subscribers based on a segment's demographics, interests or purchase histories, and more.

Why is email segmentation a vital part of an email marketing strategy? Read on to learn more.

What are the benefits of using email list segmentation?

Email marketing is one of the most affordable and effective marketing methods:

59 percent of marketers cite email as their top source of revenue.

Email drives 174 per cent more conversions over social media.

Email marketing has an ROI of around 40 cents for each $1 spent .

...but only when you are using it right.

More than ever before people expect to have a customized experience whenever they interact with an organization, and email is no exception.

74 percent of marketers believe that personalization improves engagement.

72% of consumers only engage with marketing messages that are tailored to the interests of their customers.

Relevant email campaigns generate 18x higher revenue than generalized broadcast emails.

A majority of users are extremely annoyed with the companies who send out generic messages.

51 percent of marketers who use email say that email list segmentation is the most effective personalization tactic.

The segmentation is where it plays a role.

Segmentation allows you to send various messages to various subscribers based on their interests and past behaviors, as well as where they are in the selling process, and more.

As an example, you might not need to send an welcome email to an old-time customer, or announce the date of a local celebration to someone from across the globe.

More than just annoying that just one subscriber, you may be causing harm to your email deliverability.

Deliverability refers to how many of your emails make it into the inboxes of subscribers .

Email service companies (ESPs) as well as Inbox service providers (ISPs) seek to be sure that unwanted emails don't get into the inboxes of users, therefore they monitor a range of metrics for engagement with emails about every sender. This includes:

Opens

Clicks

Unsubscribes

Domain reputation

Bounces

Spam report

In simpler terms: If your subscribers open and click through the links in your emails, it's good for the quality of your delivery. If they decide to delete your emails in the absence of reading them or mark your emails as spam, it can hurt your deliverability.

If you're plagued by too many spam complaints, ISPs could be able to block your emails altogether.

"Think of engagement in emails as a trust-meter. If your emails are characterized by significant levels of engagement mail providers see you as a credible sender and award you with increased deliverability," explains email compliance analyst Robert Colomberti .

What do these issues have to have to do with segmentation?

If you separate your email list and send targeted emails, you will be able to create a list tailored to your subscribers' interests. And when you send relevant specific emails, you'll be able to avoid the most common reason individuals report email as spam.

If it's about deliverability, email engagement is about the quality of your email, not its quantity. Segmentation helps you concentrate more on engaged subscribers as opposed to inactive subscribers who are unlikely to become customers.

"Sending emails to your contacts who are active means more positive email engagement And more positive email engagement means improved deliverability," Robert shares.

Okay, now that you understand whyemail segmentation is an essential feature, let's dive into the how.

How to segment your email list (5 expert email segmentation strategies)

The more you learn about your contacts, more straightforward it will be to separate your email lists.

It's not a reason to create endless email segments just to make a point.

It's not difficult to overdo it and add a segment for every geographic, demographic, psychographic, and behavioral criteria out there .

But the more segments you create and the bigger task you'll be able to handle in particular if you plan to send different email advertising campaigns to each group of subscribers.

Instead, think about the uniqueness of each segment:

What are the factors that influence their purchasing decision-making?

What is it that makes them stand out from their peers?

What hurdles do they have to run into while trying to reach their goal?

What are they most attracted to learning more about?

In the event that you have questions In this article, we'll provide five ways you can segment your email list beyond the geographic.

1. Lead magnets can be used to discover their interests and needs

Once you have created many lead magnets, begin segmenting subscribers based on which lead magnets they have downloaded.

Take Ryan of Signature Edits  For instance. Signature Edits offers presets, templates, and training for their target group of photographers.

Ryan recognizes that photographers face different pain points, so Ryan offers two lead-inducers including a copy of his candid-posing tips and a free set of photo edit presets .

If someone downloads one of the lead magnets, Ryan sends them follow-up emails informing them of the ways his brand and products can help them succeed.

For example, if someone decides to join the presets for photo editing, Ryan knows that editing could be an area of interest and even a pain point -the person. With that info on hand, Ryan can confidently promote his editing products to that potential customer.

Ryan is hosting his lead magnets through  the website, which makes it simple to create segments based on lead magnet downloads.

This is how it is done:

In your dashboard, navigate to your dashboard and click on the Email tab. Click "Create" and then select "New Broadcast".

Give your email a subject line. Choose the subscribers who will receive your email.

When you host the digital version of a product or a membership on -- whether available for purchase or free -- you can select the users who downloaded or purchased that product as your recipients.

All customers who (1) have signed up to your list of email addresses as well as (2) have downloaded or purchased that product are notified by email. It's that simple.

Try it out for yourself with a free account.

If you're lacking the time to design numerous lead magnets, do not fret. There are many other ways to segment your list and include our next point.

2. Personalize messaging according to their understanding level

Another method of segmenting your email list is by where subscribers fall in your marketing or sales funnel.

The marketing funnel depicts a prospective customer's journey starting from their initial interaction with your company until they buy.

What stage a lead is placed in the funnel depends on their level of familiarity with your brand or product and the degree to which they're close to making a decision.

Different marketers split their marketing funnels in different levels, such as the the five phases of awareness :

The truth is that they aren't aware:They don't know they are suffering from a.

Problem-aware:They know they have an issue, but they don't know how to fix it.

Solution-aware:They know there are solutions, but they don't know what they are.

product-awareThey have heard about the productbut don't know whether it's the right solution for their needs.

The most well-known:They know about your product and may be considering purchasing it, but need additional information.

If you are aware of a subscriber's awareness stage or stage of awareness, you may create personalized messages in response to that data. (Personalized emails result in conversion rates six times higher than non-personalized emails which is why it's worthwhile.)

As an example, a solutions-focused lead knows that they can solve their issues, however they must still learn about your service. Use your email copy to build this subscriber's confidence in your ability to help achieve their goalsas in the following email template

Hi [first name],

Have you ever struggled over [problem]?

You know, in an approach that causes you to feel emotions.

If yes, you're not the only one.

This is the solution:

      [Step 1]      

      [Step 2]      

      [Step 3]      

Sure, there's a little additional information however, it's nothing much.

This is it.

Hallelujah for the simplicity of procedures.

If you want to learn more, just head over to our [link resources page].

      [signature]                                              Copy to clipboard

What happens once a potential customer is at the end of the funnel, and then becomes a customer? Our next segmentation strategy is the right way to do it.

3. Be aware of their purchasing history

Customers are enticed to buy the latest version of your product while cross-selling offers a new product or service that complements that which they've already bought.

One of the creators who make the most of upsell opportunities can be Reuven Lerner .

Reuven is a software engineer who transformed his training company that was based in the offline world into online training courses that cater to every level, including an "Intro Python" training course designed for novices.

"If there are a lot of classes -- beginning intermediate, advanced, and so onand you're able to create the chance to sell an additional course as if your customers really love the intro class They will beg for a more advanced class... You'll tell you"You know what? I'm definitely going to get everything.'"

Reuven could target customers who have already taken his introduction course, and suggest enrolling in a more advanced course. An astounding 75% of buyers are more likely to buy if they're given specific product suggestions.

And building that kind of customer loyalty is good business

52% of buyers will go out of their way to shop at the brands they trust.

Repeat customers tend to be 9 times higher likely purchase than a first-time shopper.

It can cost up to seven times greater to attract a new customer than to keep an existing one.

Similar to lead magnets, this makes it easy for authors like Reuven to segment customers based on purchases. When you go to broadcast an email, simply select the name of the product under "Recipients".

Just like before, any buyers who (1) have subscribed to your mailing list, and (2) who have bought that item will be sent the email.

For a quick summary When you know what your readers have purchased (and loved) and loved, you can send them emails with personal recommendations that turn your subscribers into loyal customers.

4. Utilize interactive video

Interactive content can be defined as all kinds of content that needs active participation from the user. It's fast becoming one of the most popular and engaging kinds of content marketing. 88% of marketers claim that engaging content aids them in distinguishing their company from their competitors.

Additionally, interactive content has more than twice the engagement rate of static content.

Creator Minessa Konecky of Direct to Success uses interactive quizzes to bring in and connect with new leads.

Minessa developed a lead generation quiz " What's Your Business Blocker? ", using an Interact Quiz Maker .

After someone takes her quiz, Minessa segments them into the following three groups:

Overwhelmed:Small business owners who have too many things to do and don't know certain how they can manage their time.

Professional midlife:Entrepreneurs who have learned what they need to know, however, they aren't sure how to connect all the actions into an action plan.

Perpetual procrastinatorsPeople who know the steps to take yet aren't able to start on their own.

Based on which group each lead falls into, Minessa moves them through the funnel by giving them three mini-courses addressing their specific problems.

Then, once her leads near the bottom of the funnel, Minessa introduces them to her merchandise and encourages them to make an order or sign up for her club, The Squad Academy .

In bringing in leads through interactive content Minessa provides a personal experience starting with the initial email that subscribers receive throughout all the way to the end of the customer's journey.

In the final moments before we conclude, I have one final segmentation method to show you -- and it's all thanks to my mom.

5. You can ask them to tell you what they would like.

The best advice I've ever received was "it always helps to ask." (Thanks mommy!)

This is a great piece of life advice -- and it applies in determining what your audience wants, too. Segmentation surveys will help you determine what type of content your subscribers want to receive.

"Even sending a one-question survey could help determine an interest, want or desire of your subscriber," explains digital marketing pro Erik Harbison . "This will help you identify a better strategy for the content you send out, your cadence, and expectations."

The welcome email you receive is an excellent opportunity to inquire of the new subscriber what type of contents they'd like to see. In the end, they're basically the best of the bunch in email marketing:

Welcome emails can have an up to 91.43% open rate .

Leads who are new to the market tend to be most interested within the first 48 hours of subscribing.

Welcome emails have in average four times the rate of open and 5x that click-through (CTR) of a typical campaign.

Use this welcome email sent by Sleeknote , for example .

The Sleeknote blog is focused on online marketing, however their readership includes several different types of entrepreneurs and businesses. In asking new subscribers to sign up and their email address, they Sleeknote marketing team can break them into four segments:

Ecommerce

SaaS companies

Agencies

Online marketing newbies

From there, subscribers are provided with content specific to their needs and interests, helping them get the most value from your Sleeknote subscription.

If you're worried about annoying your clients by asking their opinions, bear in your mind it's true that 90% of consumers have a more favorable opinion of companies who give the opportunity for customer feedback.

The most important thing to remember is In the event of doubt, ask your subscribers about their needs. They'll probably be delighted to provide you with their feedback.

Send your email marketing campaigns to the next level with segmentation

In the end the process of segmenting your list is an excellent method of sending the correct message to the right subscribers at the right moment.

When you segment your email list to create an experience tailored to your needs that converts leads into customers and keeps returning for more.

In case you're wondering, here's five methods you can segment your subscribers:

Create lead magnets that meet diverse needs. You can then categorize based on which one your customers decide to download.

Make sure your message is tailored to the place a lead is on the sales funnel. Utilize the stages of awareness in five stepsalong with our helpful templates to create email campaigns that hit home.

Utilize your customers' purchasing information to give individual product suggestions.

Make interactive content, such as a quiz, that helps you gain insight into your leads and customers.

Find out from your customers what kinds of content they want to get. A simple survey can make a difference.

It might take some trial and error however once you've got your groove you can expect to see your sales, customer engagement and brand loyalty increase.